Switch Completes $3.5 Billion Securitized Debt Financing
Switch has announced the successful completion of two securitized financing transactions totaling $3.5 billion, announced in a press release. The transactions include a $2.4 billion Single Asset Single Borrower (SASB) CMBS loan and a $1.1 billion Asset Backed Security (ABS) issuance. These funds will refinance the majority of the company's outstanding acquisition financing, which supported the take-private transaction led by DigitalBridge and IFM Investors in December 2022.
The $2.4 billion CMBS issuance is notable for being the largest green data center CMBS transaction ever completed and the second largest in history. The $1.1 billion ABS offering is the third in Switch's master trust, now totaling $2.8 billion, and is the largest green data center ABS transaction ever completed. Both transactions were designated as green bonds, adhering to International Capital Markets Association green bond principles.
Switch's inaugural CMBS transaction includes its Las Vegas 7, Las Vegas 9, and Reno 2 data centers, involving 66 unique investors across seven tranches. The ABS issuance, closed on March 13, 2025, includes the Las Vegas 10 and Las Vegas 11 data centers. The company was advised by several financial institutions and law firms, including Citigroup Global Markets Inc., Barclays, and Goldman Sachs & Co. LLC.
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